The bank issued a forecast Friday showing that the loonie could drop to as low as $0.73 against the U.S. greenback by September, before its value improves by sometime early next year.

The dollar had been a source of concern for Canadians in January, when its value fell to a low of approximately $0.68 against the U.S. currency.

Analysts later observed a "Revenant"-like comeback that saw its value climb as high as $0.79 in early May, thanks to factors such as better-than-expected economic performance and higher global oil prices.

Its growth was stronger than the currencies in countries such as Norway, Japan, New Zealand, Australia and the U.K.

But its value has since dropped again, closing at about $0.766 on Friday, and it could fall even lower as the economy is expected to contract in the second quarter.

The reason, the bank says, is the wildfire that has ravaged Fort McMurray and ground oilsands production to a crawl.

Until the mid-19th century, Canada's future provinces used the "Canadian pound." Bit by bit, various jurisdictions began to switch to a metric system, and with it came the concept of the Canadian dollar. This Bank of Montreal-issued dollar bill is among the first bills called a dollar to have been printed.

Various banks printed their own currency until eventually the Bank of Montreal was charged with being the official issuer of the Canadian dollar, a practice that stayed in place until the Bank of Canada was created in the 1930s.

The Bank of Toronto (today known as TD Bank) was among many banks that issued Canadian dollars in the second half of the 19th century.

Image courtesy of the Bank of Canada.

The province of Canada comprised Ontario and Quebec and existed from 1841 to 1867. It issued its own currency.
Image courtesy of Bank of Canada.

With confederation in 1867, the first truly national Canadian dollar came into being. Image courtesy of the Bank of Canada.

Image courtesy of the Bank of Canada.

Image courtesy of the Bank of Canada.

Image courtesy of the Bank of Canada.

Image courtesy of the Bank of Canada.

The Bank of Canada took over the issuance of currency from the Bank of Montreal when it was created in the 1930s.
Image courtesy of the Bank of Canada.

Image courtesy of the Bank of Canada.

The 1954 dollar was the first to feature Queen Elizabeth II and the first to simply say "Canada" on it, rather than featuring the name of a bank, province or referring to the country as a "dominion."

Image courtesy of the Bank of Canada.

This was the last paper dollar issued in Canada. It was in circulation until 1987, when the loonie replaced it. Image courtesy of the Bank of Canada.

The loonie replaced the one-dollar bill in Canada in 1987. Image: CP

The Mint issued a special edition of the loonie in 1992 to commemorate the country's 125th birthday.

An Inuit inukshuk graced the tail of this loonie issued in 2010 to coincide with the 2010 Winter Games in Vancouver.

The Royal Canadian Mint issued a special-edition version of the loonie in 2012 to commemorate the coin's 25th anniversary. Image: Royal Canadian Mint.

Source: Bank Of Canada, Flickr

From Bank Of Canada, Flickr: "Robotics innovation is Canada’s ongoing contribution to the international space program and demonstrates our commitment to space exploration. The Canadian-built Mobile Servicing System is the sophisticated robotics suite that helped to assemble the International Space Station in orbit. This system consists of Canadarm2, Dextre and the Mobile Base.
On board the space station—a permanent orbiting research laboratory—international partners conduct scientific experiments, many of which result in an enhanced quality of life on earth. Canada’s contribution to the space program evokes pride and sparks the imagination and curiosity of our future leaders in science and technology."

Source: Bank Of Canada, Flickr

From Bank Of Canada, Flickr: "The expansion of the railway in the 1880s was hailed as a remarkable feat of engineering for a young country with a varied and often treacherous terrain. At the time, the railway was the longest ever built, and its completion demonstrated Canada’s pioneering spirit by linking our eastern and western frontiers, connecting people, and facilitating the exchange of goods.
Today, The Canadian train, winding its way through the Rockies showcases Canada’s natural beauty and symbolizes what we accomplished as a young nation."

Bank of Canada governor Mark Carney unveils the new polymer $5 and $10 bank notes during a press conference at the Bank of Canada in Ottawa on Tuesday, April 30, 2013.

Finance Minister Jim Flaherty unveils the new polymer $5 and $10 bank notes during a press conference at the Bank of Canada in Ottawa on Tuesday, April 30, 2013.

A new polymer $10 bank note is displayed during a press conference at the Bank of Canada in Ottawa on Tuesday, April 30, 2013.

Astronaut Chris Hadfield poses for a photo with a new polymer $5 bank note on Tuesday, April 30, 2013.

Hand holding up the new polymer Canadian $20.00 bill.

Some new polymer twenty dollar bills, which is the most widely used bank note in the country, are pictured at Montreal on November 19, 2012.

The Bank of Canada introduced the plastic see-through $20 bill on May 2, 2012.

Bank of Canada Governor Mark Carney holds a new $50 bill while standing in front of the Canadian Coast guard ship Amundsen Monday, March 26, 2012 in Quebec City. The Amundsen is displayed on the back of the new bank note made of polymer.